House of Fraser to close 31 stores

Department store chain House of Fraser is to close 31 shops affecting 6,000 jobs as part of a rescue deal.

If the plan is approved, 2,000 House of Fraser jobs will be affected, and 4,000 brand and concession roles.

The stores scheduled for closure, which include its flagship London Oxford Street store, will stay open until early 2019, House of Fraser said.

The retailer needs the approval of 75% of its creditors to go ahead with the plan.

House of Fraser chairman Frank Slevin said: “The retail industry is undergoing fundamental change and House of Fraser urgently needs to adapt to this fast-changing landscape in order to give it a future and allow it to thrive.

“Our legacy store estate has created an unsustainable cost base, which without restructuring, presents an existential threat to the business.”

Closing stores was “a very difficult decision”, he said, but “there should be no doubt that it is absolutely necessary if we are to continue to trade and be competitive”.